Market Forces Impacting the Pool Industry

CONFIDENTIAL, PROPRIETARY & TRADE SECRET INFORMATION This document contains confidential, proprietary and trade secret information of American Express Travel Related Services Company, Inc. (“American Express”) and its subsidiaries and affiliates, and must not be disclosed whole or in part to any third parties without prior written consent of American Express.

Market Forces Impacting the Pool Industry

September, 2012

Results Sponsored by

2


A commitment to staying informed and ahead of member interests and questions

Nearly 7,000 interviews updated annually

APSP Research Program

Qualitative Exploration

6 Focus Groups

2011 Quantitative Market Assessment

2500 Interviews*

Quarterly Tracking

3000 Interviews among Top 10% of

HH Incomes$100K+ Discretionary

2012 Quantitative

Update

1,300 Interviews*

*Among pool and hot tub owners, prospects and rejecters


4

Who Our Research Represents

Discretionary Income $100K+

% of U.S. Households*

10%

Median Household Income

$275K

Median Assets $1.5MM

# of U.S. Households*

12.0MM

* Estimates are based on total U.S. households of 114,600,000 as cited in the 2010 American Community Survey (ACS) from the US Census Bureau.

Upper Middle Class

5.2%

$138K

$800K

5.9MM

Core Affluent

4.3%

$275K

$2.3MM

4.9MM

One Percenters

1.0%

$750K

$7.5MM

1.2MM


5

Overall Market Trends

Pool Industry Results

Activations

Agenda


Let me ask you…

Did You Change Your Shopping Practices as a Result of the Recession?


Do You Feel the US is still in a Recession?


Will You Go Back to Your Pre-Recession Spending Practices?

Self-Reliance Supports Static State

9


10

Just When You Think Things Are Looking Up…

Q1-09 Q3-09 Q1-10 Q3-10 Q1-11 Q2-11 Q3-11 Q4-11 Q1-12 Q2-12

6954 56 55 54 56

67 6152 58

Chart Title% of Total Who Believe We are in a Recession

AND it Will Last at Least Another Year


11

Views on Stock Market Continue to Fluctuate

Q1 2011

Q2 2011

Q3 2011

Q4 2011

Q1 2012

Q2 2012

58

5043 42

50

4142

5057 58

50

59

Stock Market Right Now…

A real risk

A real opportunity

Investing Risk Profile

Moderate

Aggressive

Conservative

Q1 2011

Q2 2011

Q3 2011

Q4 2011

Q1 2012

Q2 2012

14 14 12 1014

11

58 56 5851

55 56

28 30 3138

3033


12

0

10

20

30

40

50

60

10

11IncreaseDecrease

Little Movement Since the Damage was Done in Q2, 2011

Total Affluent and WealthyAverage across categories among those participating in category

Q2 2008

Q1 2009

Q1 2010

Q1 2011

Q2 2011

Q3 2011

Q4 2011

Q2 2012

Aggregate Spending Change% of Households Planning to Increase/Decrease Luxury Spend


13

Total AWA Sample

Q1 2012%

Q2 2012%

Weekend Getaways 12 13

Vacations 7 11

Footwear 7 6

Resorts and Fine Hotels 8 5

Apparel/fashion 5 4

Personal Leather Goods 3 4

Eating in restaurants 4 3

Women's Handbags 1 3

Accessories 5 2

Home electronics 2 -1

Home Décor & furnishings -1 -2

Fine Watches -4 -12

Fine Jewelry -4 -14

1313

Calculations based on past spending and projected spending levels

Average Spending Change

The Pool is Your Vacation at Home


14

Ouch!

Upper Middle Class

Core Affluent One Percent

3033

45

18 18

26

Q1 2011

Q1 2012

Upper Middle Class

Core Affluent One Percent

2327

43

14 1521

I am looking forward to spending more money

this year than last

I am looking forward to buying luxury goods and services more now than I

did a year ago


Money is Reserved for the Important Things

15

Upper Middle Class

Core Affluent One Percenters

8176

7171

60 5751

45 45

61

49

39

Q1 2009Q1 2010Q1 2011Q1 2012

I am buying fewer big ticket items now than I did a year ago

Improving


16

Uncertainty Everywhere…

UncertaintyPersonal Finance

Jobs

Retirement Home Values

Politics

Taxes


17

Uncertainty Is the Issue

81%

Would increase spending if they had more

confidence in knowing what their

future looked like

(YTD)

64%

Say they are saving money because they are worried

about the future

(YTD)


18

6 months 12 months 2 years 5 years0

10

20

30

40

50

60

70

80

90

100

27

4148

76

No Confidence In Ability to Predict Own Future in…

Operating Within Short Time Horizons

Just 24% have confidence in knowing what their life will be

like in more than 5 years

Among Total, cumulative for each time period


19

Turning Less to External Cues on Ability to Spend

Things that Matter Less as Signals to Spend

Sustained improvement in the stock market

Sustained improvement in the consumer confidence index

General recognition from economists that we're in a growth cycle


Savings in Cash is the New Black

Income Savings Rate The 90%

Upper Middle Class

Core Affluent

One Percenters

Avg. % Being Saved 10 17 23 34

65% say they are saving money because they are worried about the future

Equates to $35,000 incremental savings per year among top 10%ers

20


21

It's Going Under the Mattress

Among TotalNational Personal Savings figures Source: Bureau of Economic Analysis (BEA.gov)

$250 B $550 B

U.S. AnnualPersonal Savings

In 2007 In 2011

% Being Saved % to Personal Savings/Money Market

% Invested In Financial Products and Markets

11

29

71

23

61

39

2007 2012

$6 Trillion in Cash Stockpiling on the Sidelines!


22

Hedging and Deleveraging in Process

69%71%

75%

80%

% of households with Zero Credit Card Debt

Q1 2010 Q1 2011 Q1 2012 Q2 2012

But reports of increasing credit use

are now emerging


23

As the Stash Gets Bigger…

It gets less risky to spend a larger number

More OK to occasionally have justifiable indulgences


24

Q1-09 Q1-10 Q1-11 Q2-11 Q3-11 Q4-11 Q1-12 Q2-12

6672 71 70

6563 63 63

25 24

16 159 13

2128

Real estate currently represents an opportunity

“In the market”for real estate

Demand For Real Estate Continues to Grow

Trends Update

25

Success Under Siege and Stealth Wealth Experiences and Quality in Life The Pull of Worth and the Push of “the Deal”


26

Main Street vs. Wall Street

“We Need” “They Have”


27

There is Some JustificationHousehold Income: A Picture of

Disparity (in 2010 dollars)

1950 1960 1970 1980 1990 2000 2010

Lower limit of top 5 percent

Upper Limit of Fourth Fifth

Upper limit of Third Fifth

Upper limit of Second Fifth

Upper limit of Lowest Fifth

Source: U.S. Census Bureau, Current Population Survey, Annual Social and Economic Supplements.

Table F-1. Income Limits for Each Fifth and Top 5 Percent of Families (All Races): 1947 to 2010

(Families as of March of the following year. Income in current and 2010 CPI-U-RS adjusted dollars (28))


28

27%One Percenters

Q2 2012

“One Percenter” Angst

% Who Are Extremely/Very Concerned About Being Scorned for Being in the Top Part of the

Economy


29

Perceiving a Climate of Contempt

I am frustrated by the amount of nega-tive attention surrounding wealth dispar-

ity in America

Wealthy people are not recognized for the contributions they make to society

64% 62%62% 62%71% 70%

Upper Middle Class Core Affluent One Percenters

Source: May and June waves of the Survey of Affluence and Wealth in America


Wealth comes at the expense of others

Wealth is impossible to obtain

Wealth is a reflection of greed

Wealth is something to look down upon

Wealth is something to aspire to

Wealth reflects hard work

63%

60%

56%

39%

30%

15%

6

10

7

10

16

44

30

Perceiving a Climate of Contempt

fewer more

% of Affluent/wealthy who think fewer/more Americans feel each way relative to a year ago

12%

5%

5%

1%

64%

80%

believe statement is true

Source: May and June waves of the Survey of Affluence and Wealth in America


31

Stealth Wealth Strengthens

Total Affluent and Wealthy One Percenters

43

53

34

46

30

40

2431

% Agree: I like it when others recognize me as being wealthy

Q1 2010 Q1 2011 Q1 2012 Q2 2012


Affluent Response


This Extends to Their Backyards

Trends Update

34



35

Happiness and Success See Q2 Uptick

Q1 2010 Q2 2010 Q1 2011 Q2 2011 Q1 2012 Q2 2012

69 71 67 67 66 71

75 78 76 74 7378

Very Happy Successful in Personal Life

Top 3 Box of 10-Point Scale

Self-Reported Happiness and Success 2012

Total 2012 UMC CA Top 1%

Very Happy 63 70 72

Successful in personal Life 73 76 77


36

Family

Vacation experiences

Hobbies

Sports

Things you buy

Weather

Politics

Religion

Money

The Value of Experiences In Supporting Quality in Life are Long-Lasting

0 10 20 30 40 50 60 70 80 90 100

11

16

33

34

36

52

54

77

80

31

24

21

49

33

20

33

13

16

58

60

46

17

31

28

13

10

4

Enjoy talking about…Love Talking About Neutral Avoid Talking About

Trends Update

37



38

Worth: A Matter of Degree

Series1 Series2 Series3 Series4 Series5

Luxury Shopper Segmentation Along the Worth/Value Continuum

Fundamentally Deal-oriented

Biased for Deal

Neither Worth nor Value

Biased for Worth

Fundamentally Worth-oriented

20% 24% 14% 24% 18%

Total A&W Non-CM

Growing


39

Rejection of Compromise Holds Strong

Upper Middle Class Core Affluent One Percenters

5041

4543

313835

3026

43

30 27

Q1 2010 Q1 2011 Q1 2012 Q2 2012

I am trading down some of my luxury purchases to lower quality or lower priced items


40

Worth Characteristics Intensify in Value

(Note: Total agree for first 3 items is over 90%, total agree on "innovation" is near 80%)

Q1 Q2

Reflect high craftsmanship 46 50

Have a reputation for the best quality 43 45

Have a reputation for good service 44 46

Have a reputation for innovation 16 20

Strongly Agree with Statements About Desired Qualities of Brands

Total Sample


41

83% 78%

61%

36%

59%

19%

43%

10%

Fundamentally Worth-oriented

Fundamentally Deal-oriented

Worth: The Store & Sales Experience Matters

What we’ve Covered So Far…

42


43

Trends Working Against Pool Business

• Stuck Economy • Spending unlikely to move significantly

• Shortened Time Horizons• Pools have longer-term reward mindset

• On-going Uncertainty• Preservation of assets

• 1%er Angst• Play to Stealth Wealth


44

Trends Working In Favor of Pool Business

• Cash Accumulation• Assets have grown substantially

• Targeted Spending on Things that Matter• Family first!

• Operating on Internal Cues of Prosperity• Feeling fortunate in their personal situation

• Real Estate Boom Coming?• Looking for hard assets

• Return of Worth Based Purchasing• Presents more high margin customer opportunities


45


Now for Pools…

Pool Business Owner Highlights

Pool Market Overview

Features/Benefits and Channel Dynamics

Targeting/Communications

Closing Considerations Co

ns

um

er

Ins

igh

t D

riv

en


Share of Sources of Improved Business Revenue

More customers installing new pools

Improved Financial Practices

More customers renovating/enhancing

Customers are buying more pool supplies

More customers hiring pool maintenance

Something else

Pool Business Owners Report Finances Better 2012

34%

19%

16%

15%

3%

10%

One-third of improvement to new pools. Other important contributing sources


Definitely

Probably

Might or might not

Probably would not

Definitely would not

28%

42%

23%

6%

1%

Do You Believe in Your Own Product?

Are we selling ourselves or our customers?

Customer Reports of Satisfaction with Pool Ownership Experience

Extremely Satisfied

Very Satisfied

Somewhat Satisfied

Not Very Satisfied

70%

Not at all Satisfied

What Pool Business Owners Estimate Customers will Say

Definitely

Probably

Might or might not

Probably would not


25%

32%

32%

12%

7%

Extremely Satisfied

Very Satisfied

Somewhat Satisfied

Not Very Satisfied

57%

Not at all Satisfied


Perceived Effectiveness of Advertising(As reported by Pool Business Owners)

Very Effective

Somewhat Effective

Not Very Effective

Pool Business Owners Not Satisfied with Advertising

19%

65%

16%

New Approaches Needed


50

Ready to Fight!“Good is the Enemy

of Great”- Jim Collins



Pool Market Overview – Consumers



Closing Considerations


Pool Prospect Market Shrunk from the Recession

Perceived Popularity in owning a pool since the recession

More Popular

Neither more nor less popular

Less Popular

q - In your view, do you feel it has become more or less popular to own a pool than it was before the recession?

19%

50%

31%

Pool Business Owners believe this to be true as well


Pool/Prospect Populations Steady in 2012

Prospect populations are often larger than owners

Single Family Detached Home Owners - $75K HH

Owners5.6 MM

Prospects3.7 MM

Rejecters75%

27.7 MM

15%10%

Prospects are just 2/3

the size of owners

2011 And 2012


Can Pools Bring Fun/Happiness Back to Life?

Going through the recession has made life more serious and less fun 52%

Prospects

I wish I could bring more fun back into my life 68%

54%

50%

Owners

Q14- Please read the following statements that may or may not describe your attitudes on certain things. Using the 5-point scale below, please select the response that best indicates how much you agree or disagree with each statement. If no one response captures your feelings completely, just choose the answer that comes closest. q26 - Please read the following statements that may or may not describe how you feel about in-ground pools. Using the 5-point scale below, please select the response that best indicates how much you agree or disagree with each statement.

Having a pool is a great way to bring more fun into my life 81%

The fun and enjoyment I get from a pool is worth every penny 76%

68%

65%


Reengaging a Vision


Satisfaction Not Universal

Not a Ringing Endorsement!

Overall Satisfaction with Pool Ownership Experience

Definitely

Probably

Might or might not

Probably would not


28%

42%

23%

6%

1%

Extremely Satisfied

Very Satisfied

Somewhat Satisfied

Not Very Satisfied

Not At All Satisfied

70%

Strength of Recommendation to Prospects

Definitely

Probably

Might or might not

Probably would not


25%

40%

25%

8%

2%

65%An Extremely Good Idea

A Good Idea

Somewhat of a Good Idea

A Bad Idea

An Extremely Bad Idea


Overall Pool Market Structure

• Significant number of non-lovers to “care” for

Sunsetters

Busy Backyard

Visionaries

Caretakers

Fun in the Sun

Love of the Pool

Chore of the Pool

Pool Prospects

Empty Nesting

60%

40%Expect many to exit

the category

20%

24%17%

18%

20%

Pool Owners

Younger


Pool Negatives – Prospects Wary of Costs

Pools are too expensive to maintain 52%

Maintaining the correct water chemistry in a pool is a hassle 50%

48%

55%

Owners Prospects

Pool maintenance is very burdensome 50% 59%

Pools get boring 27% 25%

q26 - Please read the following statements that may or may not describe how you feel about in-ground pools. Using the 5-point scale below, please select the response that best indicates how much you agree or disagree with each statement.


Barriers for Purchasing a Pool

Primary or Secondary Barrier for Prospects Total

A pool is too expensive to install 75%

Concerned a pool would be too expensive to maintain

62%

I am waiting to see if the economy becomes more stable/improves

54%

A pool uses too much energy/electric bill will increase 52%

Concerned a pool would take too much time to maintain

52%


Monthly Energy Costs

Owners

Prospects

Difference (Prospects – Owners)

Monthly Maintenance Costs

Owners

Prospects

Difference (Prospects – Owners)

Owning a Pool Not as Expensive as Prospects Think

$85

$139

$54

$80

$124

$44








Substantial Investment in Improvements Planned

Future Plans Owners

I don't plan to do anything with my pool

I plan to make improvements to my pool

I plan to completely refurbish my pool

I plan to replace my pool

I plan to do something else

I plan to de-commission or remove my pool

50%

28%

15%

4%

2%

1%

q35 – Which of the following best describes your future plans with respect to your pool in the next 2 years?

Plan to Spend in the Next 2 Years

$3,000 on average

estimated


Exposure to Pool Features and Upgrades

LED Pool Lighting – Pools are great for daytime fun but they take on a whole new life at night, especially with energy efficient LED lighting. Set the light to the color of your choice or opt to have the lights cycle through the different color at a predetermined interval – all while using 80% less energy than traditional pool lighting.

Natural Pool Sanitation Systems – Natural pool sanitation is a great way to be kind to the environment, save money on expensive pool chemicals and also create a more inviting swimming environment. Using the same minerals found in nature to cleanse your pool water, natural sanitation can reduce your pool's chlorine needs by up to 80% and won’t irritate your skin, eyes or leave you smelling like chlorine.

Automatic Pool Cleaners – Spend less time cleaning and more time enjoying your pool with an automatic pool cleaner. Automatic pool cleaners reduce the need to scrub, skim and vacuum while minimizing debris build-up in your filters, the need to use harsh chemicals and extending the life of your pool filtration system.

Automatic Pool Controls – Control or program your pool heater, pumps, lights and automatic cleaner remotely using a touchpad, Smartphone or other internet connected device. Automatic controls can help you automate pool maintenance, conserve energy and make sure your pool is ready when everyone’s ready to jump in.

Low NOx Emissions Heaters – These compact heaters are eco-friendly, offer the best in efficiency and work quickly to warm up your pool. That means less time waiting for your pool to warm up, energy savings and more time enjoying it.

Solar Swimming Pool Heaters – Harness the power of the sun to warm your pool. A solar heating system can keep your pool up to 15 degrees warmer, extending your swimming season without increasing your utility bills. Solar pool heaters are cost competitive with traditional natural gas, propane and electric pool heaters and, with the energy savings you realize, ends up paying for itself.

Natural Salt Chlorination Systems – Save money, time, and hassle the natural way. A pool with natural salt chlorination requires less maintenance and is cheaper to maintain than a chlorine pool. Better yet, salt water chlorination won’t sting your eyes, fade your swimsuit or leave you smelling like chlorine. Spend less time managing water chemistry and more time swimming.


Need to Build Awareness of Pool Features and Upgrades

Pool Features and Upgrades Among Pool Owners Owners Prospects Owners Prospects

Automatic Pool Cleaners

Automatic Pool Controls

Solar Swimming Pool Heaters

LED Pool Lighting

Natural Salt Chlorination Systems

Natural Pool Sanitation Systems

Low NOx Emissions Heaters

60%

47%

41%

39%

33%

24%

19%

Familiarity (Ext/Very)

Purchase Interest(Ext/Very Likely)

38%

32%

32%

33%

34%

28%

22%

72%

58%

61%

54%

62%

54%

47%

45%

32%

38%

40%

33%

29%

28%

q41P - How familiar are you with each of the following pool features or improvements listed below? q42P - How interested are you in purchasing each of the following pool features or improvements listed below?








The Target

This

Prospects42 Years Old

(But many < 34)

2/3 have kids


The Non-Target

Not This!

Non-ProspectsAlready Have

Mud-Pit

No Teeth


Paying for the pool usually involves financing

How did/will you pay for installing pool Prospects

Financed/will finance it

Mix of financing and cash

Pay in full with cash that I saved saving

Some other way

33%

41%

24%

1%

Average saved $7,200

1Among prospects who plan to pay for their pool in part or in full with cash2Among all prospects

44% have dipped into their pool savings to cover other

expenses

Have done so 3 times on average


Purchases Competing Most with Pool

Most Competing with Pool Purchase Prospects

Car, truck, van or SUV

Financial investments/savings

Home renovations

Vacation

Second home

Hot tub

Home furnishings

Boat (motorboat/sailboat/yacht)

Watches/jewelry

Something else not listed

33%

25%

23%

18%

9%

9%

7%

6%

3%

8%

q53 - Which of the following things are most competing with your purchase of a pool? That is, which of these take money away that you otherwise would use to purchase a pool?


Increasing the Priority of Pool Installation

Pool Purchase Options Prospects

Discount on installation

No-interest financing offer

Discount on premium pool features

1-year pool maintenance included

Long-term financing offer

Free pool maintenance training for new owners

Personalized estimate and cost breakdown

Special prices on future pool upgrades

Transferrable warranty

40%

39%

30%

29%

26%

24%

20%

20%

14%

q54 - Which of the following would have the greatest impact on making having a pool installed a higher priority for you?


Things Pool Shoppers Think are Done Well

Attributes Receiving Higher Ratings (Past 5 Year Pool Shoppers)

Offers quality products for sale

Keeping up with the times

Knowledgeable sales people on hand

Clean, bright and well organized showroom

Products are up to date and stocked appropriately


Things Pool Shoppers Think are Done Not So Well

Attributes Receiving Weaker Ratings (Past 5 Year Pool Shoppers)

Sales people have strong client service skills

Is 'in touch' with its customer base

Attractive store front/presence (from the road)

Leverages technology in sales/product demos

Sales people have your best interest at heart


73

2% Trust the advice

they receive from salespeople

85% Rely less on salespeople

today than in the past

Trusting Less/Searching More

Source: Affluent Attitudes Towards Salespeople, Harrison Group, 2010


74

Tough to Enter the Circle of Trust

Sales-people

Financial advisors at banks

Travel Agent

Realtors

Insurance agents

Lawyers

Financial advisors at financial institutions

Doctors

Family

SELF

Close Friends


75

Building Relationships: Stages of Reciprocity

Nominal

Ordinal

Transactional

IntimateTrusting

Cursory acknowledgements

Ordinary, basic information

Information related to the Transaction at hand

Private information – calls for reciprocity

Sharing of information that puts the teller at risk – very rare

Obligation is on the company rep. to self-

disclose first


Good Salespersons

This

Clean Cut

Love their Job

Feel Fortunate

Not excessively deal driven


Bad Salespersons

Not This!

You Get the Idea!


Prospects

Extremely Strong Ext./Very Strong

Make the most out of your backyard with a new pool

Make the most of your "staycations" with a pool

Pools have never been easier and less expensive to maintain with advances in features and technology

The best break —a pool at home

Invest in your family with a pool

Complete your home with a pool

Rethink your backyard with a pool

21%

25%

21%

21%

18%

25%

16%

57%

55%

52%

52%

51%

46%

49%

Strength of Pool Messages

q55P - How strong are each of the following messages at driving your interest in purchasing a pool?


Strength of Advertising Themes

Paradise...it's closer than you think

Welcome to paradise

Affordable luxury

Pools -- Bringing families together for generations

Resort to staying home

Pool time is family time

Come on in, the water's fun

Splash into the best investment you will ever make.

Time for a cool change

Backyard appeal pays off

Add value, add a pool

Nobody hangs out in the kitchen anymore.

Cool Change

Pool your resources

Pool Off, Chillax

Appeal of Advertising Themes – Paradise Possible

q57 - Below is a list of statements that could be featured in advertising for in-ground pools. Please rate each based on how appealing to you personally, the statement would be if included in pool advertising that you saw.


Pool Imagery Exposure to Help Guide Advertising

• Respondents were shown 4 pairs of pool images and asked to select one image per pair that appealed to them most

Kidney shape

FamilyWide angle view Close up view

Plain landscapeLush landscape

No family

RectangleVs.

Vs.Vs.

Vs.


Presenting Product

Lush landscape Wide angle

Kidney shape Family

This


Presenting Product

Not This!








A New Type of Prosperity

1. Your Prospects likely feel better about their personal financial situation• People in your target can afford it. It’s own Microeconomy

2. Are increasingly confident that they can spend on occasional indulgences that matter for their family• A pool is a manageable and justifiable indulgence. Openness to

financing is coming back to a degree. Operating a pool is not as much money as most believe

3. Are building their own better worlds increasingly defined on their own terms• It is a place of refuge and privacy. Or a luxury in the privacy/safety of

their own homes


New Sales Tactics

4. Buyers want immediate return on their investment• Help them get into their pool. Help support high satisfaction with the

purchase. Network prospects early while enthusiasm is high

5. Are increasingly likely to trade-up. Salespeople need to more actively sell upgrade options• Something to practice. Still within the confines of being more simple and

not too flashy

6. Require reciprocity initiated by the salesperson to build trust• In a stealthy low trust environment, openness (vulnerability) needs to be

initiated by the salesperson• Reveal confidence, openness, and love of the job


Creative “Funds Raising”

86

Maybe pool sellers could match a portion of their proceeds and clarify remaining financing

http://www.payitsquare.com/

http://www.payitsquare.com/register


http://www.payitsquare.com/how-it-works.aspx

http://www.payitsquare.com/how-it-works.aspx



Time to Invest is Now

7. Use financial gains in customers making improvements as a foundation of capital to grow the overall market• Time for investment. Need to expand the prospect base for long-term

sustainability

8. Need to have more satisfied customers• A challenge to go from good to great• Need for a combination of innovation (in product and services) and

communication

9. The new sanctuary of family fun• Where else can you turn for on-going family fun and relaxation?

Blending of old approaches to presenting pools with new conveniences


Connect in New Ways

10. New ways to think about advertising and prospecting needed• Do more to help them realize their vision. Not just a picture, a new way

of lifeBe present with advertising in feel good places (not near news)

11. Looking for transparency in purchase price/planning• Time to help prospects realize a purchase is within their reach. Help

them build toward that goal through new financial vehicles

12. Seek new disruptive points of distribution. Looking for new ways to break through the “same old” to trigger renewed consideration• To change an established “product” three or more variables need to

change in order for the customer to feel like this is something different I need to consider


10 Things You May Have Learned Today…

1. Your Prospect is more economically viable than you may have thought – pursuing a unique microeconomy

2. Respect their stealth needs. More subtle approach to selling without judgment while respecting privacy

3. Salesperson needs sincere, but positive disclosure. Lead the disclosure process to greater margin. Otherwise it is purely a product discussion

4. More trade-up opportunities emerging. Recognize those prospects that are less price conscious

5. Benefit to finding ways to support savings plans or new savings approaches for pools


10 Things You May Have Learned Today…

6. There is a window of opportunity to invest in renewed pool prospects using gains in revenue from previously delayed renovations

7. More active approach to building customer satisfaction is needed

8. Limited awareness of technology enhancements inhibiting growth

9. Worth considering new points of distribution to attract attention to the category

10. Ways to present pools in advertising


91

Summing it up

Commit to the Future

Commit to Worth

Commit to Refuge


One Exchange Place21 West Main StreetWaterbury, CT 06702T: 203-573-0400 ext. 113F: (203) [email protected]

Thank You!

Lauren StackAPSP Director, Industry RelationsVisit www.apsp.orgemail: [email protected]

http://www.apsp.org/

mailto:[email protected]

Documents

Market Forces Impacting the Pool Industry